Former FHFA director Mark Calabria recently commented on the impact of a larger credit box on Fannie Mae and Freddie Mac, suggesting that it has led to the entities taking on excessive risk. This perspective raises concerns about the potential implications for the mortgage industry as a whole.
Key points:
– Mark Calabria, former FHFA director, believes that a larger credit box has resulted in Fannie Mae and Freddie Mac assuming too much risk.
– The statement underscores the need for a balance between expanding credit access and maintaining responsible lending practices in the mortgage industry.
– Calabria’s remarks highlight the ongoing debate surrounding risk management and financial stability within the housing finance sector.
You can read this full article at: https://www.housingwire.com/articles/highly-leveraged-loans-agency-books-real-fiscal-danger-calabria/(subscription required)
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